Tobin's Q ratio

Definition

A ratio in Tobin's Q theory which compares the market value of a company and the value of the company's assets. A ratio of 1 indicates that the market value of the company is based solely on its assets, a ratio less than 1 indicates a market value less than the value of the company's assets, and a ratio greater than 1 indicates a market value greater than the company's assets.
Browse Definitions by Letter: # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
TND today's low